Newmont Waihi Gold Secures $1-Billion in Funding for Underground Mine

Newmont Waihi Gold, a wholly owned subsidiary of Newmont Mining Corporation, has obtained $1-billion in funding for the new Correnso underground mine in the city of Waihi. The mine is expected to be up and running by the end of the year.

The mining company completed construction of the access tunnel in April and now plans to confirm the extent and grade of the gold deposit below.

The gold mine, which is the first of its kind, is located directly below a residential area of 45 homes. The controversial project was given consent by the Environment Court last year to proceed as well as providing a 12-year mining permit.

Commissioners appointed by Hauraki District Council to oversee the project and land use released their decision in early May.

"The top of the Correnso ore body is approximately 130m below the land surface but the current proposal has the top of the mine workings at 157m below the surface," the decision stated.

"The ore body extends to 430m below the surface, with the majority of the proposed mining to take place at a depth of 270m to 350m below the surface.

"The mine will be accessed by drives and a spiral decline from the existing Trio mine and Favona mine workings."

"The surface access point will be the existing Favona mine portal located near the processing plant."

Despite homeowners in the area appealing the court’s consent, Newmont Waihi Gold plans to proceed according to plan.

Newmont currently operates three mines in Waihi, New Zealand including: the Martha, Favona and Trio.